Funding your university education

What follows is a brief overview. Detailed information is available from the Department for Education and Skills at this site:

http://www.dfes.gov.uk/studentsupport/

Places in higher education are now funded by a system of low interest loans which are administered through your local education authority (LEA). In the spring following the completion of your UCAS form, you should contact the education department of your LEA and obtain the form, or download a form from the DFES website. Even if you are not sure whether you want or need a loan, it is a good idea to go through the application process at the required time. It is much easier to cancel a loan request than to starve through your first term because you dithered and missed the deadline for applications.

There are two stages to the loan application: first you should complete form HE1 which will determine your eligibility for a loan. Once you have been confirmed as eligible, you will need to complete form HE2. As with the UCAS application, make a copy of the LEA forms and complete them in draft first. The process is explained in a free booklet provided by the LEA, or you may refer to the DFES website. The information required is quite detailed and will be used to determine not only how big a loan you may take, but also whether - or how much - you should contribute to "top up" fees required by universities in England and Wales (£1,125 in 2003-2004). Usually, unless you are an adult who has been living independently of your family, supporting yourself, for over three years, your parents will be required to provide information about their earnings and financial commitments. The assessment of parental contribution will be based on their residual, not gross income. More detailed information about how your loan entitlement will be assessed and how individuals may be classified as "independent" may be found on the DFES website. If you are over 21, you should also ask your careers office, adult guidance service, or UCAS for The Mature Student's Guide to Higher Education.

Note that any income obtained from casual or part-time work during your course will not affect your entitlement.

Allow plenty of time to supply the information required and complete it accurately. Once complete, photocopy the form before sending it off; it will help you save time the following year.

Please do not let fear of debt deter you from taking up a place at university. Focus on the long-term benefits. It may also help to remember that you will not be required to start repaying your loan until the April after you have finished or left your course, and monthly repayments will not be triggered until you earn more than £10,000 p.a. Once your earnings exceed this figure, you will be expected to repay 9% of your income each year until the debt is cleared. (For example, at a salary of £15,000 you would repay £37 per month.) Consider your university place an investment in your future.

Health care whilst a student:

Your university will almost certainly have its own NHS health centre from where you can get medical and dental treatment. To avoid prescription charges you should complete Form HC1. Further information about all NHS charges and exemptions can be found here:

http://www.doh.gov.uk/nhscharges/